October was not a great month in Real Estate for the Town of Ajax, it was the first month that saw the average sales price in October ’17 actually come in lower than the year before. The average price in Ajax dropped from $627,804 in October ’16 to $615,811 this past October a loss of 1.9%. A drop off of sales in the amount of 22.5% combined with a very small increase in listings (only 11 more listings in Ajax when comparing October ’16 to October ’17) can explain the drop in pricing which continues the loss of value that Ajax and the rest of the GTA has been experiencing since the Ontario Government announced its fair housing plans back in April.
The Sales to New Listing Ratio has dropped from 79.1% in March of this year slumping to just 55.2% this past October signifying the shift from a Seller’s market earlier in the year to a more Balanced market where almost 1 out of every 2 homes listed actually selling.
The biggest drop in the pricing was in the detached segment which saw a drop from an average of $713,929 in October 2016 down to $684,011 in October of this year. For the most part the other housing segments were still up versus October of last year with Linked and Semi Detached homes being the only other types of housing to come in under the value of last year’s average, all other segments are still up from October ’16 values.
When looking back on this past October, it may not seem like it but the Real Estate Market has not been as bad as the numbers may indicate. It is always troubling when your home loses value however for those who are considering cashing out their value and moving to another home, the good thing is that values have dropped for the home you are planning to buy combined with high inventory levels means you have a lot better chance of getting the dream home you want without having to over spend. I recommend to any Home Buyers sitting on the fence to jump in as we are now in the sweat spot higher levels of inventory, low amount of competing buyers, don’t expect it to last forever.
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